MicroStrategy, the business intelligence company, just bought another 20,356 Bitcoin (BTC)!
A Massive Bitcoin Purchase
This latest purchase brings their total BTC holdings to a whopping 499,096 Bitcoin. They paid about $1.99 billion for this batch, averaging $97,514 per Bitcoin. This purchase happened between February 18th and 23rd, according to an SEC filing. Currently, their Bitcoin is worth around $33.1 billion, with an average purchase price of $66,357 per Bitcoin. That’s over 2.3% of all the Bitcoin in existence!
Funding the Bitcoin Frenzy
This big Bitcoin buy follows another big announcement: MicroStrategy raised $2 billion through a convertible note offering. These notes mature in 2030 and can be converted into MicroStrategy stock. After expenses, they pocketed $1.99 billion, which they plan to use for general corporate purposes, including – you guessed it – buying more Bitcoin.
This is all part of MicroStrategy’s ambitious “21/21 Plan,” aiming to raise up to $42 billion to buy even more Bitcoin. They’ve already raised almost $20 billion towards that goal.
Market Reaction and Future Outlook
MicroStrategy’s CEO, Michael Saylor, hinted at this Bitcoin purchase earlier. After the news broke, MicroStrategy’s stock price (MSTR) went up slightly. Over the past year, the stock has skyrocketed by 345%, far outpacing Bitcoin’s 86.7% increase.
Despite a recent dip in the overall cryptocurrency market, companies like MicroStrategy, Semler Scientific, Rumble, and Metaplanet are still buying Bitcoin. Many investors remain optimistic about the future of crypto, especially with positive expectations around future regulations.
Currently, one Bitcoin is trading around $95,389.
